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Endesa (NYSE:ELE): -- Endesa has signed an agreement with Italy's Amga, the Genoese multi-utility, to take joint control of the company developing the LNG terminal. -- The new plant will have annual capacity of around 4 billion cubic metres of which Endesa will take 50%, guaranteeing much of its current fuel needs in Italy. -- The project will require total investment of Euro 400 million and is due to come on stream in mid-2007. Endesa's (NYSE:ELE) chief executive officer today signed a deal to join Italian multi-utility Amga, supplier to the city of Genoa, in building an off-shore LNG plant near the coast of Livorno in Italy. Endesa and Amga will take operational control of Off-Shore LNG Toscana (OLT), the company responsible for the development and operation of the plant, with a joint 51% stake split equally between them. The remainder of the capital is in the hands of local businessmen. The new LNG plant will have capacity of around 4 billion cubic metres a year and Endesa will take 50% of this, guaranteeing much of its current fuel needs in Italy. It is expected to come on stream in mid-2007 at an estimated total investment cost of Euro 400 million. The Livorno off-shore terminal is a groundbreaking technical solution in Europe, being located 20 km out to sea off the Livorno coast. The technology takes over from oil drilling platforms and represents the future for global development of LNG terminals. It is now used in 25% of new projects developed in the USA. Moving plants away from populous areas creates substantial environmental and security benefits and significantly reduces the visual impact. The Livorno project thus enhances Endesa's commitment to the environment, sustainable development and technological innovation. This project is in line with Endesa's strategic plan for securing gas supplies, and is the latest addition to a portfolio of highly competitive suppliers for the group's Italian plants and could potentially support the rollout of its French industrial plan. Also, as part of the same strategy Endesa, is developing a new LNG plant around Monfalcone, with a capacity of 8 billion cubic metres a year. These projects will guarantee competitive gas supplies to the Italian market and enhance the flexibility of Endesa's fuel use in its operations across the Mediterranean. Besides these two projects, Endesa is also playing a significant role in the main LNG projects being designed or developed in Spain: Reganosa (Galicia), Sagunto (Valencia) and the Canary Islands. Endesa has a 12% interest in Medgaz, the company responsible for design and development of the Algeria-Spain gas pipeline. In 2001 it won a share in the contract to supply gas piped from Algeria and signed two long-term supply agreements with Nigeria LNG Limited and Ras Laffan LNG Limited of Qatar each, for a billion cubic metres of annual supply. These agreements follow others with Gas Natural and Sonatrach. AMGA Amga is a utility company supplying water, gas, electricity and heating to Genoa and Livorno through its subsidiary Asa-Livorno. Billings last year came to Euro 473 million and the company supplied more than 2 million people. This document may contain certain forward-looking statements regarding anticipated financial and operating results and statistics that are subject to risks and uncertainties as well as to material risks, changes and other factors which may be difficult to predict, including, without limitation, those factors described in the Folleto Informativo Continuado of Endesa filed within the Comision Nacional del Mercado de Valores and in the Form 20-F of Endesa filed within the Securities and Exchange Commission, both for the fiscal year ended December 31, 2003. For all of these forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.